LONDON--(EON: Enhanced Online News)--The mobile wallet market is rife with opportunity. Valued at close to
USD 1 trillion in 2016, Infiniti
Research predicts that it will exceed USD 4 trillion by 2021.
Finding the best way to take advantage of this market, however, can be
challenging.

Apple Pay has been growing since it launched two years ago. It is
supported by numerous banks and credit unions in the US, and is
gradually spreading into the rest of the world. According to a recent
report from consumer spending analytics firm TXN, the number of mobile
transactions using Apple Pay rose by 50% from December 2015 to
December 2016.

While this may look promising on the surface, it is less impressive than
one might expect. Apple Pay has been growing steadily since launch, but
its penetration is still quite low. In the app store, for example, it is
used for only 1%–1.5% of transactions. On average, physical stores see
less than 0.8% usage of the payment method. And while the number of
transactions is rising, the frequency at which consumers use Apple Pay
has actually fallen. A common reason for this is that people simply
don’t remember that it’s an option.

Apple and other organizations are working to change this, however.
Square, a mobile payment company, has partnered with Apple to promote
Apple Pay, waiving processing fees for the first USD 12,000 worth of
transactions made using Apple’s payment app. Merchants can also request
a free marketing kit and training materials. This initiative will
incentivize vendors to promote Apple’s services, increasing awareness
and helping combat the issue of consumers not realizing the option is
available.

This is not the first initiative from these two companies. Square
recently carried out a campaign in Portland to educate merchants and
consumers about the payment service, and the result was that contactless
payments such as Apple Pay tripled. This demonstrates just how important
awareness and education are, as well as business partnerships with
compatible companies. While adoption of mobile payments has been
somewhat lackluster, a concentrated effort to increase it met with
considerable success.

Although awareness of Apple Pay’s existence is widespread, many people
who already have the ability to use it have no idea how it works. It is
essential to identify gaps like these, determine which demographics and
regions might need a heavier marketing focus, and ensure that the widest
possible audience has a solid understanding of your offerings.

Market
intelligence can pinpoint places where a campaign might be
failing, and bring to light opportunities for partnerships that can
strengthen both companies involved. It can also point out why numbers
might not be as positive as they look — a 50% growth rate becomes less
impressive once you know usage is increasing from 1% to 1.5%. Market
intelligence is vital in a sector such as mobile payment services, where
there is immense potential for growth.

Based on your particular service, Infiniti Research experts will provide
a comprehensive look at the market, including multiple metrics on which
to evaluate the environment and the performance of your offering. They
will also determine possible partners and competitors, including those
companies’ current performance, strengths, and weakness. It can be
difficult to identify opportunities or select a strategic partner that
will be a strong fit for a business venture, but Infiniti can provide
you with a detailed analysis that will give you all the information you
need to make informed business decisions.

Established in 2003, Infiniti Research is a leading market intelligence
company providing smart solutions to address your business challenges.
Infiniti Research studies markets in more than 100 countries to help
analyze competitive activity, see beyond market disruptions, and develop
intelligent business strategies.

With 13 years of experience and offices across three continents,
Infiniti Research has been instrumental in providing a complete range of
competitive intelligence, strategy, and research services for over 550
companies across the globe.